Dilmah Tea's blend of paternalistic leadership : Approach builds commitment, good communications and teamwork

Purpose – This paper aims to explore the leadership style of Merrill J. Fernando, founder of Dilmah Tea and chairman of the MJF Group. Design/methodology/approach – Considers the effects of his paternalistic approach to leadership on Dilmah Tea employees and its organizational culture. Findings – Reveals that the company benefits from high levels of employee commitment, good internal communications and strong teamwork. Practical implications – Highlights such staff‐welfare provisions as free in‐house staff medical facilities and financial help for the education of employees' children. Social implications – Explains that charity is a significant part of Merrill Fernando's life and permeates his business. About a third of his wealth is set aside for the Merrill J. Fernando Charitable Foundation. Originality/value – Provides insight into the workings of an unusual Sri Lankan company.